FX.co ★ US Core PCE Prices Edge Lower in Fourth Quarter of 2024

In a noteworthy development for the U.S. economy, Core Personal Consumption Expenditures (PCE) prices have seen a slight decrease during the fourth quarter of 2024. According to the latest data updated on March 27, 2025, the Core PCE has dropped to 2.60% from its previous standing of 2.70%.

The Core PCE price index is a critical measure often scrutinized by the Federal Reserve to gauge inflationary patterns. The recent deceleration in the index underscores a modest easing in inflation pressures, offering policymakers and market players a fresh perspective on the economic landscape as they adjust strategies moving into 2025.

This decline, albeit slight, indicates a potentially stabilizing inflation trend, shaping expectations around interest rates and monetary policy. As stakeholders digest this data, stability in core spending power could influence broader economic decision-making in the coming months.